South Africa’s rand firmed slightly against the dollar on Friday, with some dealers saying Thursday’s sharp losses may have been overdone.
The rand will struggle to gain further given the market’s nervousness about what European leaders will decide on the debt crisis when they wrap up their summit later today.
The rand fell sharply on Thursday to hit 8.2825 after the European Central Bank signalled it would not take aggressive moves to deal with the debt crisis, hurting investors’ appetite for riskier assets.